Apollo Tires opens first Greenfield facility outside India in Hungary

Indian tire maker Apollo Tires is all set to open its first greenfield facility in India outside the European country of Hungary.The company, which received a green signal from its board of directors, aims to build greenfield facilities.The tire manufacturer will invest 475,000 euros over the next 5 years for a facility in a new industrial area near Gyongyoshalasz, Hungary.

Once functional, the plant will have maximum capacity to develop 5.5 million passenger car and light truck (PCLT) tires and 675,000 heavy commercial vehicle (HCV) tires.The production plant will manufacture Apollo and Vredestein brand tires, which will strengthen the company's market share in the European market.

Neeraj Kanwar, Chairman, Deputy Chairman and Managing Director of Apollo Tires Ltd, received from the board of directors of NE said, "This investment will be the first of its kind in a greenfield facility outside India and will be an important milestone in the company's international growth journey. We The goal is to create a benchmark manufacturing facility that will further enhance the competitiveness of the European market.”

Hungarian government secretary Peter Szijjarto MP, "Apollo's Hungarian investment is an important step in the reconstruction of Hungary."

The Hungarian site is located 100 kilometers away from the capital, Budapest, and meets the needs of Apollo tires, as several key OEMs are located in close proximity to potential customers.Apollo Tires will begin construction of the plant in spring 2015 to obtain all necessary permissions and permits to set up the facility.

Mr Kanwar further added: “In addition to providing direct jobs to 975 people, most of whom will be employed locally, this facility will also lead to the creation of indirect jobs and contribute significantly to the development of the region. As an organisation, We believe strongly in 'caring about society' and we will be actively involved in addressing the health, safety and environmental issues of our community."

Apollo Tire has 4 manufacturing units in India, 3 in Africa and 3 in the Netherlands.The combined production capacity of all facilities is neatly 1700 tons per day.